Message From the CEO

At the November 2022 meeting, your Board of Directors approved an overall rate increase of 5%. The increase will apply to your electric usage beginning on March 1, 2023, and it will appear on the bill you receive in April. The cost of security lights leased from the Cooperative will also increase 50 cents ($0.50) per month.

Your Cooperative restructured electric rates—but did not raise them—in 2015. The last rate increase occurred in May 2012.

Beginning on March 1, most rate classes will see an increase in the Facility Charge. You can find more information on the Facility Charge in the special section below. Additionally, all rate classes will move to one Energy Charge (kWh). (Currently, many rate classes rely on two rate blocks, applied based on usage.)

Your Cooperative’s strategy is to work toward recovering our fixed costs via the Facility Charge and to simplify the Energy Charge (or electric rates). These two changes align with this goal.

East-Central Iowa REC has spent several months working with our rate consultant on our cost-of-service study, which looked at current rates and costs, as well as the future needs of the Cooperative. From these projections, it was determined whether our current rate structure would support the increased expenses and margin requirements to provide safe and reliable energy to our members.

The results of the study were not a surprise: Electric rates must increase. It is the only way for ECI REC to continue investing in distribution system upgrades and maintenance, fleet maintenance, and technology improvements, as well as retain quality employees and meet our financial obligations while navigating increased industry costs and supply chain issues.

Members can expect to receive their official rate increase notices via mail in late January. Revised Energy and Facility Charges will be published on our website around the same time.

In the meantime, members can review the rate tables below or utilize the new rate calculator on our website. To use the calculator, select your rate class and current Facility Charge, then input your typical usage (kWh) in the box labeled kWh. These items can all be found on your electric bill. The calculator will show your current rate, new rate, and the difference between them.

As always, if you have any questions, please call ECI REC at 877-850-4343 or email ecirec@ecirec.coop.

What Is the Facility Charge?

The Facility Charge is the monthly charge that represents the fixed costs of making electricity available to your meter all day, every day. Regardless of how many kilowatt-hours you use, there is a cost associated with having power available to you. The Facility Charge is set based on the equipment you need to meet your energy demands. Your Cooperative minimizes cross-subsidies when setting Facility Charges.

You may recall that rates were restructured in 2015. East-Central Iowa REC collected no more revenue as a result of this restructuring. Instead, we began to collect 75% of the fixed cost (Facility Charge) and lowered the energy component (which covers the cost of power). In allocating costs across all members in an equitable manner, we minimize subsidies among members—everyone pays their fair share.

How Will the Rate Changes Impact You?

Rate 11: If you currently pay a $25.50 Facility Charge:

Rate 7 - Heat Plus: If you currently pay a $3.75 Facility Charge and are a single-phase account:

Rate 31: If you currently pay a $36.50 Facility Charge and are served by a 1.5 - 15 kVA transformer:

Rate 31B: If you currently pay a $39.00 Facility Charge and are served by a 25 - 50 kVA transformer:

Rate 31C: If you currently pay a $52.00 Facility Charge and are served by a 75 - 167.5 kVA transformer:

Rate 31D: If you currently pay a $60.00 Facility Charge and are served by a multi-phase account:

Rate 20: If you currently pay a $39.25 Facility Charge and are served by a 25 or less kVA transformer:

Rate 20B: If you currently pay a $46.50 Facility Charge and are served by a 37.5 - 75 kVA transformer:

Rate 20C: If you currently pay a $71.00 Facility Charge and are served by a 100 - 300 kVA transformer:

Rate 20D: If you currently pay a $129.50 Facility Charge and are served by a 500 or greater kVA transformer: